Looking for equipment finance brokers in Melbourne? There are a few things you should know about commercial equipment financing first.
By now you’ve heard about the benefits of financing your commercial equipment instead of buying it outright at the start. Given the high cost of starting a franchise, obtaining funding for your assets is a smart choice, allowing you to free up your capital for any unexpected expenses, hiring additional staff and even advertising and marketing initiatives, all of which would give your business a better chance of success, whether you’re just starting up or expanding to a second or more locations.
If you’re starting out a new franchise business and think you can afford to buy your equipment outright at the start, make sure you’ve considered all the costs that you’re likely to incur. A useful post on www.Business.com posed the question “Can You Afford to Buy a Franchise?”.
It’s vitally important for franchise business owners to have a “cushion” of capital on hand for any unexpected costs especially as the business gets off the ground and begins expanding. The writer explains,
“The type of franchise you are interested in can also impact how much money you will need before you break even. A cheap franchise will cost you less money upfront, but it also may not generate enough, as quickly as you need it, to replace the income you were making before buying your low-cost franchise.
Why is this important? Because most, if not all, franchise owners will require a cushion while their franchise grows and establishes itself. It can take several years for you to earn from the franchise what you were making prior to going into business for yourself. Having a cushion of money that you can live off of as your franchise gets up and running is essential.”
(Source: https://www.business.com/articles/can-you-afford-to-buy-a-franchise/)
So if spending all your available capital outright at the start to purchase your assets will deplete your “cushion”, financing your commercial equipment is a smarter choice. This will allow you to retain your valuable capital.
Once you’ve decided on financing instead of purchasing your equipment at the start, you’ll need to find the right equipment finance brokers. Melbourne based franchise businesses such as hospitality, physical fitness, pharmaceutical businesses etc. can have their assets financed through CFI Finance.
As a leading franchise finance provider, CFI Finance has provided funding to thousands of franchise businesses around Australia offering a simple application process, fast turn-around time and manageable payment solutions so that your start-up business won’t be put under added financial strain, which can mean the difference between success and failure for any business.
Franchisees can choose from the rental, leasing and business loan options with terms that range from a minimum of 1 year to 5 years, depending on your needs. With the rental option you won’t be locked into a long term contract. Our leasing option allows you to own the equipment at the end of the term and with the business loan solution, you own the assets right from the start.
As leading equipment finance brokers in Melbourne and around Australia we know how difficult it can be to acquire the necessary capital for your start-up or expansion, so it makes sense for you to spend your money on what matters most, promoting your business so that it can succeed. We also know how challenging acquiring financing from a bank or traditional financial institution can be, which is why we aim to make the process quick and hassle-free, without the heaps of paperwork and red-tape.
To find out more about the leading equipment finance brokers in Melbourne, call us on 1300 659 676.
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